Week 1-2 AISPre4 - Modulefin

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Information System

Operation and Maintenance

AISPre 4

MODULE
ACADEMIC YEAR 2022-2023

Prepared by:
Vinson J. Urrete
Instructor
GUIDE ON HOW TO USE THE MODULE

A. For Faculty
1. The Instructor must inform the student when they upload the module.
2. Instructor must send this module before the week starts. The instructor can send this
module using any kind of LMS platforms or any possible means of communication
where the students can access or download the module.
3. The instructors must guide the student if they have some question or inquiries about
the lessons.
4. Instructor must give a feedback and the correction key after checking the activities.

B. For Learners
1. Student must wait for the announcement of the instructor when the module is ready to
download.
2. Students must follow the instruction given by their instructor.
3. Students can download the module or their activities using LMS or other platform
that they used in their subject.
4. The student will study the given topics in the module, if there are some topics that the
students will difficult to understand, the student can ask questions on their subject
teacher.
5. The students must answer the given activity.
6. The deadline of activities will depend to your subject teachers.
7. Feel free to ask questions to your instructor and enjoy learning and understanding
using this module.
MODULES FORINFORMATION SYSTEM OPERATION AND MAINTENANCE

I. Lesson Title:

What is Information System?


Accounting Information Systems: An Overview

II. Lesson Objective:


At the end of the module, the learners will be able to:
1. Identify Information System .
2. Discuss the different components of an AIS.
3. Explain how an AIS can add value to an organization.

III. Texts:

1. What Is an Information System? Fundamentals of Information System 8th Edition.


Chapter 2
2. Accounting Information Systems: An Overview. Accounting Information Systems,
Thirteenth Edition. Chapter 1

IV. References:

1. Stair, R. and Reynolds, G. (2016). Fundamentals of Information Systems, Eighth


Edition. Retrieve from https://www.pdfdrive.com/fundamentals-of-information-
systems-e166764655.html
2. Romney, M. and Steinbart, P. J. (2016). Accounting Information Systems,
Thirteenth Edition. Retrieve from https://www.pdfdrive.com/accounting-
information-system-e191376354.html

V. Lectures:

WHAT IS INFORMATION SYSTEM?

A system is a set of two or more interrelated components that interact to achieve a


goal.Most systems are composed of smaller subsystems that support the larger system. For
example, a college of business is a system composed of various departments, each of which
is a subsystem. Moreover, the college itself is a subsystem of the university.
Data - Facts that are collected, recorded, stored, and processed by a system.

Information - Data that have been organized and processed to provide meaning and
improve decision-making.

Information Technology (IT)- The computers and other electronic devices used to store,
retrieve, transmit and manipulate data.

Information Overload
Exceeding the amount of information a human mind can absorb and process,
resulting in a decline in decision-making quality and an increase in the cost of providing
information.

Value of Information - The benefit provided by information less the cost of producing.

INFORMATION SYSTEM (IS)


A set of inter related components that collect, manipulate, store, and disseminate data and
information and provide a feedback mechanism to meet an objective.

Components of an Information System


Feedback is critical to the successful operation of a system.

Source: Fundamentals of Information System. Eighth Edition

Input
In information systems, input is the activity of gathering and capturing raw data. In
producing paychecks, for example, the number of hours every employee works must be collected
before paychecks can be calculated or printed. In a university grading system, instructors must
submit student grades before a summary of grades can be compiled and sent to students.
Processing
In information systems, processing means converting or transforming data into a useful
outputs. Processing can involve making calculations, comparing data and taking alternative
actions, and storing data for future use.

Output
In information systems, output involves producing a useful information, usually in the form
of documents and reports.

Feedback

In information systems, feedback is an information from the system that is used to make
changes to input or processing activities. For example, errors or problems might make it necessary
to correct input data or change a process.
In addition to feedback, a computer system can predict future events to avoid problems.
This concept, often called forecasting, can be used to estimate future sales and order more
inventory before a shortage occurs. Forecasting is also used to predict the strength and landfall
sites of hurricanes, future stock market values, and the winner of a political election.(Stair and
Reynolds, 2016)

ACCOUNTING INFORMATION SYSTEMS

It has often been said that accounting is the language of business. If that is the case, then
an accounting information system (AIS) is the intelligence—the information-providing
vehicle—of that language. AIS is a system that collects, records, stores, and processes data to
produce information for decision makers.

Source: Accounting Information Systems. ThirteenthEdition .

Accounting Information System - A system that collects, records, stores, and processes data to
produce information for decision makers. It includes people,procedures and instructions,data,
software, information technology infrastructure, and internal controls and security measures.

There are six components of an AIS:


1. The people who use the system
2. The procedures and instructions used to collect, process, and store data
3. The data about the organization and its business activities
4. The software used to process the data
5. The information technology infrastructure, including the computers, peripheral devices,
and network communications devices used in the AIS
6. The internal controls and security measures that safeguard AIS data

These six components enable an AIS to fulfill three important business functions:
1. Collect and store data about organizational activities, resources, and personnel.
Organizations have a number of business processes, such as making a sale or purchasing
raw materials, which are repeated frequently.
2. Transform data into information so management can plan, execute, control, and evaluate
activities, resources, and personnel. Decision making is discussed in detail later in this
chapter.
3. Provide adequate controls to safeguard the organization’s assets and data.

How an AIS Can Add Value to an Organization


A well-designed AIS can add value to an organization by:
1. Improving efficiency
2. Sharing knowledge
3. Improving the internal control structure
4. Improving the decision making

VI. References / Readings:

Stair, R. and Reynolds, G. (2016). Fundamentals of Information Systems, Eighth


Edition. Retrieve from https://www.pdfdrive.com/fundamentals-of-information-
systems-e166764655.html

Romney, M. and Steinbart, P. J. (2016). Accounting Information Systems, Thirteenth


Edition. Retrieve from

GOD BLESS US ALL!

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